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Use of Financial Inclusion Data Country CaseStudy: BURUNDI - Using National Survey Data to Formulate a Financial Inclusion Strategy, The
This document presents a CaseStudy on suing national survey data to formulate a financial inclusion strategy. Driven by the need to provide better data, BRB launched the country's first national-level financial inclusion survey projectfunded by AFI. The goalwas to establish a baseline to inform policy decisions aimed at deepening the level of financial inclusion in Burundi. Moreover, collecting comprehensive financial inclusion data was seen as one of the steps that the BRB planned to take in its journey towards the establishment of a national financial inclusion strategy in Burundi.
- There is a high use of informal financial services.
- Demographic differences in account ownership: The rate of ownership of accounts varies widely across different social and economic categories. Men are twice as likely as women to have an account. 18-29 year olds are 50% less likely to have an account compared to those older than 30 years. The account ownership rate is 89.5% among state employees, 52.1% for private sector employees, 30.1% for traders and 5.3% for farmers. Few women among MFI clienteles: Women constitute only 28.3% of MFI clients. This is at odds with what has been observed in most other countries where women are highly represented in the microfinance sector.
- Only 12.5% of Burundi's adult population has an account in a formal financial institution.
- Monthly income of more than 60% of the population is less than 25,000 BIF (about 20 USD), over 87.6% of the rural population depends on agriculture and livestock and about 40% are illiterate.
- There is a high concentration of points of service within the province of Bujumbura where the capital city lies.
- There is a very low level of financial education among Burundi's population: Only 10% of respondents say they are well informed about the various services available on the market.
- There is a low level of awareness of financial institutions: Most financial institutions are not well known to the public. This is especially true for microfinance institutions.
- Physical distance is a barriers to financial access outside the capital: Outside province of Bujumbura, the distance between service points and lack of motorised transportation are important factors that hinder access to financial services.